Airport Advisory CommissionAug. 14, 2024

20240814-009-2 AAC_DBE Recommendation — original pdf

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Recommendation for Austin Airport Advisory Commission on DBE Policy and Administrative Procedures Introduction: Program. The City of Austin’s Disadvantaged Business Enterprise (DBE) program aims to enhance the participation of African Americans, Hispanic Americans, Asian-Pacific and Subcontinent Asian Americans, Native Americans, or Women owned businesses in City contracts. This document recommends specific ways to enhance the City of Austin program and expand opportunities for DBE participation in airport contracts as part of the current Airport Expansion and Development 1. Establish a Austin Airport Diversity Committee: ● Form a dedicated diversity committee responsible for overseeing the DBE program, in collaboration with the contractors selection committee. This committee should include at least one member tasked with conducting current audits and background research on previous Diversity, Equity, and Inclusion (DEI) initiatives. The committee will ensure compliance with DBE goals and recommend improvements. 2. DBE Participation Counting: Taking best practices from the DFW MWBE Program, DBE participation should be counted as follows: eligible. ● Only certified DBE firms with a physical place of business in the relevant market area are ● Prime contractors who are certified DBEs must also have their own DBE plans including other diverse business subcontracts to continue stimulating economic impact amongst diverse entrepreneurial initiatives. perform a commercially useful function. The value of work performed by DBE subcontractors is counted towards the goal, provided they 3. DBE Commitment Form: percentages. This form should: Implement a DBE commitment form binding 1st tier subcontractors to dedicated participation ● Specify the committed percentage of work for DBE firms. ● Include a clause for monitoring and reporting DBE participation. ● Outline consequences for non-compliance with DBE commitments. 4. Subcontractor Substitutions or Terminations: ● Require prior approval for any substitutions or terminations of DBE subcontractors. ● Ensure that substitutions are made with other certified DBE firms whenever possible. 5. Contract Specific Goals and Roll Out Pace: Set contract-specific goals for DBE participation based on the following parameters: ● The total dollar value of the contract. ● Availability of DBE firms to perform the work. ● Historical DBE utilization on similar contracts. And incrementally pace out the RPFs. 6. Pre-Award and Post-Award Compliance: ● Pre-Award: Ensure that DBE goals are included in RFPs and solicitations. Conduct pre- bid conferences to explain DBE requirements. ● Post-Award: Monitor compliance through regular audits and site visits. Require contractors to submit documentation verifying DBE participation. 7. Outreach and Technical Assistance: ● Conduct outreach programs to inform DBE firms about upcoming opportunities. ● Provide technical assistance and training to help DBE firms understand bidding processes and contract requirements. 8. Expedited Payment Policy: ● Adopt an expedited 14-day payment policy to ensure timely payments to DBE subcontractors, enhancing their cash flow and ability to participate in future projects. 9. Monthly Reporting Requirements: Require each project to submit a monthly report detailing DBE participation. This report should include: ● The percentage of work completed by DBE firms. ● Documentation of efforts to engage DBE subcontractors. ● Challenges encountered and strategies implemented to overcome them. 10. Council Oversight ● Ensure that the Council considers the Commission's findings as part of the comment period when the current DBE program comes up for renewal. The Commission’s recommendations are intended to enhance rather than interfere with the current program and subsequently increase participation goals. Conclusion: Implementing these best practices will promote fair competition and increase the participation of disadvantaged businesses enterprises in Austin Airport contracts. These measures will help the airport meet its diversity goals and foster a more inclusive business environment.